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There’s only one company that provides cable television service in my community. Isn’t that an illegal monopoly?

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There’s only one company that provides cable television service in my community. Isn’t that an illegal monopoly?

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Citizens of cities and towns all across Ohio (and indeed across much of the nation) have echoed this concern. There appears to be limited overbuilding (running of cable lines by more than one company in a given area) of cities by competing cable companies. However, whether this phenomenon is attributable to an illegal conspiracy to restrain trade, or merely to the financial realities of the business environment, is a much more difficult question. Overbuilding can be costly, and cable companies have to decide whether it is worth the cost of running new lines into a community in which they will only have a portion of the total cable customers. On the other hand, some companies are in the process of overbuilding a number of cities and towns in Ohio, proving that the proposition is not entirely cost prohibitive. In addition, in most communities, consumers are afforded the choice of cable service versus new technologies such as DBS and other satellite based television transmission services.

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